05/17/2024

News

California Approves $44 Million in Tax Credits to Job Creator Companies

Gov. Jerry Brown’s GO-Biz agency approved almost $44 million in 89 new tax credits Tuesday for companies that have promised to create at least 7,000 new jobs in California, a new report says. . . “California is typically a higher-cost labor market,” Aetna Real Estate Client Relationship Manager Susan Beers told the board in an interview with the San Francisco Chronicle. “It makes Fresno a more desirable service center for us than it would be otherwise.”

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California Lost 9,000 Business HQs and Expansions, Mostly to Texas, 7-Year Study Says

Of the 9,000 businesses that he estimates disinvested in California, some relocated completely while others kept their headquarters in California but targeted out-of-state locations for expansions, Vranich found. The report did not count instances of companies opening a new out-of-state facility to tap a growing market, an act unrelated to California’s business environment.

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Woof & Poof to Cease Production in Chico

The unique, quality products are sold to more than 600 stores in the United States and Nordstrom’s. Woof & Poof has been in Chico for 40 years, but that’s about to end. Hart says a raise in minimum wage and workers compensation are just a couple of issues that have made it difficult to keep the business financially afloat here. Hart said, “The high cost of doing business in California coupled with ridiculous regulatory environment makes it virtually impossible to do business.” He says he has seen an 11% hike in payroll.

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Businesses Continue to Leave California: A Seven-Year Review

A new study shows that about 9,000 companies left California in the last seven years to reduce costs and improve prospects of growing their businesses. The report provides details about disinvestments by company name, ranks the popularity of the destination states and cities, and outlines the difficulties of doing business in California.

Research & Studies
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Kraft Heinz to Close Seven Factories, Including One in Fullerton

The closures will eliminate about 2,600 jobs. Production will shift to other factories in North America, Michael Mullen, senior vice president of corporate and government affairs, said Wednesday. . . Other factories to be closed are in San Leandro, Calif.; Federalsburg, Md.; St. Marys, Ontario, Canada; Campbell, N.Y.; Lehigh Valley, Penn.; and Madison, Wis.

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Long Beach Plastics Firm Sending R&D to Texas

Long Beach’s Medway Plastics Corp. is expanding its manufacturing and relocating its research and development operations to the Lone Star State, according to Texas economic development agencies and Medway.

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SolarCity Builds High-efficiency Solar Panels

The San Mateo, Calif., company will begin producing the first modules in small quantities this month at its pilot facility, but the majority of the new solar panels will ultimately be made at the company’s major facility in Buffalo, N.Y.

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Applebee’s Moves HQ to Glendale

Restaurant operator DineEquity Inc. said Thursday that it would move the headquarters of its Applebee’s International Inc. chain from suburban Kansas City, Mo., to its Glendale corporate home. . . about 80 to 90 people will stay put, consisting of workers in its backend support, help desk, guest relations and accounting departments.

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The Fight to Keep Korean Businesses in LA

Korean businesses represent at least a third of those in the downtown garment district, generating at least $10 billion in annual revenues, according to the Korean American Apparel Manufacturers Association. But now some Korean apparel makers are considering moving to El Paso, the Los Angeles Times reports. They say the hike in the minimum wage here and strict labor laws are mainly to blame for their desire to relocate. El Paso has fewer regulations, cheaper rent and an abundance of skilled laborers.

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Tesla Rival Seeking Billion-Dollar California Factory? Here’s What We Know

A secretive electric car developer recently announced that it’s scouting several locations for a new factory, fueling speculation about a state tax-credit race similar to last year’s push for Tesla’s gigafactory.

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Why is a Chinese Auto Parts Company Making Cars in Southern California?

Lyman points out that Southern California is also home to a lot of wealthy environmentally conscious consumers who can afford the cars’ $100,000-plus price tag, which makes distribution easier.

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20th Century Props Reopens Amid Production Rebound in LA

In a propitious sign for Los Angeles’ production sector, one of Hollywood’s largest prop houses is reopening six years after it shut down.

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California-Based Payroll Company to bring 1,700 Jobs to Denver

ZenPayroll, a California-based firm that helps small businesses manage payroll, will bring about 1,700 jobs to Denver in the next few years as part of an expansion announced Tuesday on the steps of the state Capitol.

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Texas Taxes Too Tempting for Ventura Bra Maker

Fashions Forms is not just moving, it’s also expanding. The bra designer recently signed a lease for a 90,000-square-foot space that will house its growing office and distribution center. Fashion Forms also plans to add an additional 40 staff members.

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California Consultant Bringing 200 Jobs to Nashville

DayNine Consulting plans to open the office at that downtown building in October and grow the staff to up to 200 by the end of next year. The company’s website lists several job openings in Nashville, including project managers, integration consultants and a talent acquisition coordinator.

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